Two years after Hurricane Helene, village officials report progress on river restoration, infrastructure repairs and property buyouts, but major recovery projects remain dependent on state and federal funding decisions.
By Annie Dance | Cops & Congress | News & Commentary
Nearly two years after Hurricane Helene devastated Chimney Rock Village, local officials are moving forward with river restoration, water and sewer repairs and plans to rebuild the downtown business district. However, approximately $42 million in proposed recovery grants remains under review.
During the Village Council’s Sept. 22 meeting, officials outlined progress on several major projects, including the selection of engineering firms for river restoration and private property stabilization, the first payments from a $5.5 million streetscape grant and new developments in the federal property buyout program.
The updates come as the village prepares to mark the second anniversary of Hurricane Helene on Sept. 27, with substantial infrastructure work still ahead.
Ron Hancock, a Senior Planner for the Rutherford County Tourism Development Authority contractor, Destination by Design (DbD), told council members that the village has received approximately $8 million in recovery grants, with another $42 million in applications awaiting approval.
That brings the village’s potential recovery funding to approximately $50 million, excluding Emergency Watershed Protection Program (EWPP) funding for private property owners.
Among the pending applications is a $13.5 million federal Economic Development Administration (EDA) grant for a proposed business hub, with an additional $2 million match from the Dogwood Health Trust.
The village also has approximately $23 million in Community Development Block Grant Disaster Recovery (CDBG-DR) applications pending for commercial district revitalization and riverwalk restoration. Another approximately $3.2 million is being sought for two bridges at Falls Creek and Rocky River Crossing.
Officials said the first round of grant awards has been reduced substantially compared with funding anticipated in a subsequent round. They also said the state has not explained how projects that fail to receive first-round funding will be considered in the next round.
The funding figures represent a combination of awarded grants and pending applications, not money already available for construction.
Residents whose properties have been selected for the Hazard Mitigation Grant Program buyout process are beginning to receive notifications from North Carolina Emergency Management.
According to the council’s recovery update, residents have received emails advising them that meetings with state and Rutherford County officials will be scheduled to discuss their properties.
A village official said four property owners had been contacted but had not received purchase offers.
Officials also discussed the appraisal process, including the use of pre-disaster property values.
Residents were advised to check their email accounts, including spam folders, for notifications dating back to Sept. 8.
The village is coordinating with Rutherford County to identify residents who may have missed notifications and ensure they receive information about upcoming meetings.
The updates indicate that the buyout process is advancing, although the meeting did not establish when property owners will receive formal offers or when purchases could be completed.
The council approved moving into contract negotiations with DbD for engineering and architectural services associated with river restoration and the proposed riverwalk.
Officials said two firms submitted qualifications. Destination by Design was selected in part because of its existing involvement in village recovery projects and familiarity with the river.
Council members also approved negotiations with BREC, a Wilkesboro-based engineering firm, for work associated with the Emergency Watershed Protection Program.
The program involves slope stabilization, river restoration, and mitigation work on private properties damaged by Helene.
Officials said the next steps include negotiating an engineering contract and holding a meeting with participating property owners to explain the proposed work and anticipated schedule.
The village expects the engineering and planning process to help establish the scope of work for projects scheduled to advance next year.
The village has received its first payments from a $5.5 million North Carolina Department of Commerce streetscape grant.
Officials said Commerce approved an additional $142,000 in advance payments Sept. 17, bringing the total approved to approximately $240,000 of the $1.1 million available for advance payments.
The streetscape project must be coordinated with the North Carolina Department of Transportation’s road reconstruction work, including the proposed roundabout and its connections to the downtown business district.
Once the village exhausts the $1.1 million in advance payments, the grant will operate on a reimbursement basis.
That means the village must pay eligible construction expenses before seeking reimbursement from the state.
To address the resulting cash-flow requirements, officials have applied for a zero-interest bridge loan through the North Carolina Department of State Treasurer.
The proposed loan would help the village cover project expenses while awaiting reimbursement. Officials said the loan would extend through June 30, 2030, although the grant-funded work has an earlier completion schedule.
The loan application remains under review.
Village officials also reported progress on restoring water and sewer infrastructure damaged by Helene.
Engineering plans are being reviewed for water and sewer extensions from Terrace Drive toward the Best View Motel.
The project is intended to restore sewer service to several businesses and property owners, including Burntshirt Vineyards.
Officials hope construction can begin within the next several months.
A separate sewer project along Terrace Drive and Crystal Road is expected to receive bids in early October, with construction potentially beginning in late November or early December.
The village also has approximately $11 million in water and sewer recovery funding for projects that include water system resiliency, wastewater treatment and sewer improvements on the south side of the village.
However, officials acknowledged an ongoing problem at the village’s wastewater treatment facility.
Elevated grease levels in the sewer system are affecting treatment operations, prompting discussions about strengthening the village’s grease-control ordinance and enforcement requirements.
Officials said they are working with state regulators to address the problem and may require more advanced grease-control equipment at the two local restaurants.
As reconstruction continues, the village Planning Board is reviewing its sign ordinance and evaluating zoning throughout Chimney Rock.
Officials said the board is examining individual properties to determine whether existing zoning remains appropriate following the destruction and changes caused by Helene.
The review includes existing property uses, potential future development and possible changes to setback requirements.
Recommendations will eventually be presented to the Village Council for consideration.
The village also received approval for a Phase I environmental site assessment of a 5.5-acre village-owned property, working with the North Carolina Department of Environmental Quality (NCDEQ).
The assessment will examine potential contamination and other environmental concerns before a feasibility study evaluates possible future uses of the site.
Chimney Rock Village will hold a ceremony at 2 p.m. Sunday, Sept. 27, to commemorate the second anniversary of Hurricane Helene.
The event will include the unveiling of an exhibit along the Riverwalk near Bubba O’Leary’s General Store and Village Square.
Officials said students are helping install the exhibit, and U.S. Rep. Tim Moore is expected to attend.
The ceremony comes as the village continues coordinating with NCDOT, state agencies, federal funding programs and private property owners on its long-term recovery.
While engineering contracts, grant payments and property buyout notifications indicate progress, much of the village’s reconstruction remains dependent on pending funding decisions, construction schedules and the completion of infrastructure repairs.
Two years after Helene, Chimney Rock Village is moving from emergency recovery toward long-term rebuilding, with major decisions about its riverfront, downtown business district and future development still ahead.
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